Be Careful with Ultra Shorts like SKF, SDS, FXP, DXD!

[john_for_u80]

This post is for some newbies who don't look at the charts and trade.

Don't get carried away and be 100% bear. It's ok if you predict that SKF goes to 250 but be careful in holding it overnight. Day trade with these shorts with a reasonable stop losses. Say 50% at one point and remaining 50% little below!

I think Market reverses soon. When SKF, SDS go over BB 3rd Deviation, they will crap out. They are barely making it inside. If they bounce up at open, I will look for a reversal at some point soon in these names!

Here is 1 chart with BB setting 20,3 not 20,2

http://stockcharts.com/h-sc/ui?s=SDS&p=D&b=5&g=0&id=p15495865323

If I was the one to wish what happens tomorrow, I would want market to crap down like a bomb! I will get into SPY 1st to be safe and then I will get in some other banks if market looks nice! GE should crap out the open :)

I am looking to start some starter position in SPY and will day trade with rest of my money!

Good Luck!

[Bolimomo]

Good advice, John! I too think SKF rose too fast in the past 3-4 sessions. From 97 or something to today's 184 high. Almost doubling your money in a few days (where can you find this kind of investment?). I am hoping to see the market SPY gaps way down tomorrow, and some greedy people pushing SKF way up to past 200 double top resistance, and to ride it down on a blow-off top reversal, gap-N-crap. Super high risk play. But I am all in for it.

[john_for_u80]

Good advice, John! I too think SKF rose too fast in the past 3-4 sessions. From 97 or something to today's 184 high. Almost doubling your money in a few days (where can you find this kind of investment?). I am hoping to see the market SPY gaps way down tomorrow, and some greedy people pushing SKF way up to past 200 double top resistance, and to ride it down on a blow-off top reversal, gap-N-crap. Super high risk play. But I am all in for it.

I still think we have a downside room looking at some of the charts. S&P can go to 800 in a day or 2.

DOW and S&P fibonacci support of 78.6% retracement are violated today, so if market is continuing its down move then we might see DOW soon at 7000 area and S&P near 750 to 800 area.

Have to be little slow in whatever I do with stops! We will most likely rally before the expiration and the ones who are short.....god bless them!

Good Luck!

[BuyOnDips]

Asian markets getting crushed right now.

http://finance.yahoo.com/intlindices?e=asia

YTD performance of world markets.

http://www.raymondjames.com/indices1.htm

There could be great bargains tomorrow morning. Then sell into any rallies. Good luck.

[CSSVT]

Yup, I got in on DUG shortly after 3:00 today but would've NEVER held it overnight. Gotta keep an eye on the clock and the profits.